Closing Cost Calculator: What are the Closing Costs on My Home Mortgage?
On its own, the upfront cost of getting a new home loan might not seem that bad. However, all together, the closing costs on a mortgage can be a larger sum of money than you might realize when deciding to get a new mortgage. Our closing cost calculator will help you get an estimate of what your cost of closing will be to prepare yourself financially for all the costs of your new home loan.
Closing Cost Calculator
Basic Mortgage Information
The most crucial information to know when it comes to closing costs on a mortgage are the details of the mortgage itself. This includes (1) the purchase price of the property itself, (2) the amount of the loan taken out to pay it off, (3) the loan term in years (typically 15 or 30), and (4) the interest rate.
You’ll also want to know what your yearly property tax and property insurance costs for the property will entail to properly use this closing cost calculator.
Services Required By The Lender
Additionally, the mortgage lender may require any or all of these services to be provided at additional costs. They include:
- A property appraisal, which can generally be expected to cost between $300 and $600.
- A credit report, which can often be garnered without cost.
- Flood certification. This is a fee that is mandatory only in certain areas and generally costs in the range of $50 to $150.
- Tax services fee. This is a fee paid to the loan servicer on your behalf for tax payments.
- Title insurance for the lender. Title insurance guards against any problems that may arise during title transfer.
- Title insurance for yourself. The total costs of title insurance can often range in price up to around $800 or so.
- A recording fee. This is charged by the local county or city government for recording a real estate purchase or sale to make it part of the public record.
Additional Services You Can Shop For
In addition to services required by the lender, there are additional services you may want to request yourself. These include items like a land survey or a pest inspection.
Inputting all this information into our closing cost calculator will give you a good sense of what your closing costs will be. Armed with this information, you’ll be better prepared to sign on the dotted line and buy the home of your dreams.